IDEAS home Printed from https://ideas.repec.org/a/ags/afjecr/315810.html
   My bibliography  Save this article

The Political Economy of Oil and Coronavirus Disease in Nigeria: Imperatives for Diversification

Author

Listed:
  • Shola, Akinyetun Tope
  • Kola, Bakare
  • Samuel, Ahoton Aihonsu
  • Jijoho, Oke Solomon

Abstract

Nigeria runs a mono-petrodollar economy, and the government has persistently ignored the calls for diversification except for when the price of oil plummets. Indeed, there has not been a tangible effort to sincerely shift the focus from being perpetually oil-dependent to developing the non-oil sectors of the economy and increase foreign exchange earnings. However, the outbreak of the Coronavirus pandemic revealed the volatility of the Nigerian economy and its susceptibility to oil shock and natural disasters. Situated within the context of the Cobweb Theorem, this paper explores how oil dependence has exposed the Nigerian economy to oil price fluctuation and the threat of an impending recession. The paper which relied on secondary data also examines the imperativeness of diversification as a way forward in Nigeria and concludes that the government must take advantage of her abundant resources and pay critical attention to other sectors of the economy such as agriculture.

Suggested Citation

  • Shola, Akinyetun Tope & Kola, Bakare & Samuel, Ahoton Aihonsu & Jijoho, Oke Solomon, 2021. "The Political Economy of Oil and Coronavirus Disease in Nigeria: Imperatives for Diversification," African Journal of Economic Review, African Journal of Economic Review, vol. 9(3), June.
    • Handle: RePEc:ags:afjecr:315810
    DOI: 10.22004/ag.econ.315810
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/315810/files/Shola.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.315810?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Peterson K. Ozili, 2020. "COVID-19 pandemic and economic crisis: the Nigerian experience and structural causes," Journal of Economic and Administrative Sciences, Emerald Group Publishing Limited, vol. 37(4), pages 401-418, October.
    2. Oriakhi D.E & Iyoha Daniel Osaze, 2013. "Oil Price Volatility and its Consequences on the Growth of the Nigerian Economy: An Examination (1970-2010)," Asian Economic and Financial Review, Asian Economic and Social Society, vol. 3(5), pages 683-702, May.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Agunyai Samuel Chukwudi & Ojakorotu Victor, 2022. "Budgetary Allocations and Government Response to COVID-19 Pandemic in South Africa and Nigeria," JRFM, MDPI, vol. 15(6), pages 1-18, June.
    2. Abere Omotayo Johncally & Ojikutu Abdul Rasheed Kola, 2021. "Covid-19 Pandemic: Assessment of Its Impact and Insurability of Pandemic Risks in the Nigerian Insurance Business," International Journal of Finance, Insurance and Risk Management, International Journal of Finance, Insurance and Risk Management, vol. 11(4), pages 66-80.
    3. Cornelius O. Okorie & Christopha C. Arua & Felix M. Nwankwo, 2023. "Nigerian State and Rent-Dependent Economy: An Exposition of Vision 2020 Policy Strategies for Future Sustainable Development," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 7(3), pages 1330-1345, March.
    4. Freddy Ronalde Camacho-Villagomez & Yanina Shegia Bajaña-Villagomez & Andrea Johanna Rodríguez-Bustos, 2024. "Estimating the Impact of Oil Price Volatility on the Ecuadorian Economy: A MIDAS Approach," International Journal of Energy Economics and Policy, Econjournals, vol. 14(4), pages 371-376, July.
    5. ERER, Deniz, 2022. "The Asymmetrical Impact Of Policy Responses On Volatility Of Sovereign Default Swaps," Studii Financiare (Financial Studies), Centre of Financial and Monetary Research "Victor Slavescu", vol. 26(3), pages 35-54, September.
    6. Joseph B. Ajefu & Ayse Demir & Padmali Rodrigo, 2023. "Covid-19-induced Shocks, Access to Basic Needs and Coping Strategies," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 35(6), pages 1347-1368, December.
    7. Zargham Ullah Khan & Muhammad Bilal Ahmad & Khadija Saeed, 2022. "The Impact of COVID-19 on Tourism and Hospitality Industry: A Qualitative Investigation in Pakistan," Journal of Policy Research (JPR), Research Foundation for Humanity (RFH), vol. 8(4), pages 439-446, December.
    8. ADEKOYA, A. Augustine & AGBETUNDE, L. Ayodele & AKINRINOLA, O. Oladipo, 2021. "Covid-19 Pandemic and Internally Generated Revenues in Local Governments: Nigeria Experience," International Journal of Applied Economics, Finance and Accounting, Online Academic Press, vol. 9(2), pages 63-75.
    9. Melvin Victor & Elangovan N., 2022. "Impact of the Pandemic on Entrepreneurial Ecosystems," International Journal of E-Entrepreneurship and Innovation (IJEEI), IGI Global, vol. 12(1), pages 1-15, January.
    10. Fisayo Fagbemi, 2021. "COVID-19 and Sustainable Development Goals (SDGs): An Appraisal of the Emanating Effects in Nigeria," Research Africa Network Working Papers 21/026, Research Africa Network (RAN).
    11. Abiodun Olusola Omotayo & Abeeb Babatunde Omotoso & Saidat Adebola Daud & Oluwadara Pelumi Omotayo & Babatunde Afeez Adeniyi, 2022. "Rising Food Prices and Farming Households Food Insecurity during the COVID-19 Pandemic: Policy Implications from SouthWest Nigeria," Agriculture, MDPI, vol. 12(3), pages 1-20, March.
    12. AJAYI Ibidolapo Ezekie & EDEWUSI Damilola Gabrie & ADELEKE Kareem Olalekan, 2021. "The Impact of a Global Crisis on the Economic Sustainability of Nigeria: The Case of Covid-19 Pandemic," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 5(07), pages 738-745, July.
    13. Bala-Keffi, Ladi. R & Oboh, Victor. U & Imam, Shamsuddeen. Z & Vanni, Eguolo. M & Bikefe, Grace. G & Okoronkwo, Chinecherem.D & Joshua, Adams. N & Yusuf, Danjuma.S, 2023. "Impact of Covid 19 on Stock Market and Exchange Rate in Nigeria," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 7(8), pages 1713-1726, August.
    14. Nurudeen Abu & Joseph David & Musa Abdullahi Sakanko & Ben-Obi Onyewuchi Amaechi, 2022. "Oil Price and Public Expenditure Relationship in Nigeria: Does the Level of Corruption Matter?," Economic Studies journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 3, pages 59-80.
    15. Lanyue Zhang & Stavros Sindakis & Nipun Dhaulta & Simplice Asongu, 2024. "Economic Crisis Management During the COVID-19 Pandemic: The Role of Entrepreneurship for Improving the Nigerian Mono-Economy," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 15(1), pages 828-859, March.
    16. Augustine Adebayo Kutu & Abieyuwa Ohonba, 2024. "The Impact of Crude Oil Price Fluctuation on Revenue Generation in the Oil Dependent Economy: Nigeria," International Journal of Energy Economics and Policy, Econjournals, vol. 14(5), pages 181-190, September.
    17. Rakshit, Sandip & Islam, Nazrul & Mondal, Sandeep & Paul, Tripti, 2021. "Mobile apps for SME business sustainability during COVID-19 and onwards," Journal of Business Research, Elsevier, vol. 135(C), pages 28-39.
    18. Christian Pinshi, 2020. "COVID-19 uncertainty and monetary policy," Working Papers hal-02566796, HAL.
    19. Oberiri Destiny Apuke & Bahiyah Omar, 2021. "Television News Coverage of COVID-19 Pandemic in Nigeria: Missed Opportunities to Promote Health Due to Ownership and Politics," SAGE Open, , vol. 11(3), pages 21582440211, July.
    20. Victor Chukwunweike Nwokocha & Ogochukwu Christiana Anyanwu & Ignatius Ani Madu & Christopher Emmanuel Nwankwo, 2021. "COVID-19 Pandemic and Small-Scale Industries in a Local Geographic Space of Nigeria: An Assessment of the Impact of Strategic Interfirm Alliance," SAGE Open, , vol. 11(2), pages 21582440211, June.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:afjecr:315810. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://www.ajol.info/index.php/ajer/index .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.